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CoolServe Inc.
“Be Cool – Save Energy, No to Wastes”
Solution
Improving on-farm storage facilities to reduce post-harvest losses should be coupled with
proper strategies and interventions to enhance access to markets. In low-income countries,
solutions should first and foremost take a producer’s perspective, e.g. by improving harvest
techniques, farmer education, storage facilities and cooling chains. In industrialized countries on
the other hand, solutions at the producer and industrial levels would only be marginal if
consumer education and appropriate stock management at retail level is not in place.
With this, we present our prototype walk-in sized cooling storage which is low-cost. It comes
with and integrated program which monitors and forecasts the market and which can be helpful
in potentially increasing the profitability of the farmers. CoolServe Data Mining and Analytics
uses historical data for a given location and produce. The data from analytics is then put through
the proprietary forecasting code and presented to farmers in form of a mobile application which
informs them on expected prices for the storage duration of the produce.
Moreover, government investment on capacity building for agriculture and infrastructure and
policy support to facilitate market access for farmers and to provide an enabling environment for
private sector investment is a non-negotiable factor to reduce food loss and waste.
Target Market
Our target market shall be the farmers around the world. As described for low-income
countries, it is much better to improve their storage quality and cooling systems in order to not
lose a significant amount of food in the supply chain. It is believed that about 30% of the food
produced for human consumption globally is lost or wasted somewhere along the food supply
chain. (Rezaei, M., Lin, B, FAOstat Organization, Food Technologists, Statisticians)
Marketing Strategy
Our organization will be providing enough data that this certain innovation will greatly
increase the productivity and profitability of the farmers while still achieving the goal of having no
food loss and food waste in the food supply chain. This will be achieved by showing the
Another method for the revenue of the organization is the proposal of a cost per click model
advertisement. Most of the advertising networks follows Cost per Click (CPC) model for their
ads. So whenever user click on the ads in the app, few pennies will be added to your pocket.
Optimal Click through ratio (CTR) for apps is around 1.5 - 2 %. The average revenue per click
(RPM) is around $0.10 for banner ads. It differs based on type of ads. Banner ads provide the
lowest RPM, Interstitial ads have moderate RPM ($1-3) and Video ads provide the best one ($5-
10).
Competitive Advantage
CoolServe’s tracking module manages the produce coming into and out of the system and
provides a holistic farm management tool. The module provides alerts when the quality of the
produce is about to change, how long it can be stored, cooling energy consumed, and alerts for
the user to know if the produce goes outside proper conditions. The module links to CoolServe’s
market analytics module to give the user real time and future price forecasts to sell or buy
produce at a better price. It can inform the user of the nearest cold storage unit and buyers or
sellers for the produce. The data and statistics will be provided of course by the countries
statistics for agriculture and market. It is also believed to be optimized to consume at least 20%
more efficient than normal cooling units.
Business Model
In accordance to the financial calculations of the organization, for a target of 1% of the farm
holdings in the Philippines which is roughly 55,600 farms/holdings, with the use of the
CoolServe, the expected increase in annual gross output is about 25%. With this, if the
government will be funding the proposal, the government is expected to have a 4.56 payback
period and a return of investment of about 26.43%.
Moreover, the organization will also have a total of Php 6,180,740.64 annual revenue from
cost per click banner advertisement. The programming of the application costs Php
1,552,800.00 which is a one-time payment.